With the loonie now hovering around 75 cents American and the headaches of having to contend with American holiday shopping crowds, Canadian shoppers are beginning to wonder if the deals across the borders are truly worth the trip. Below is a comparison preview by Global News of some popular gifting products on the Canadian and American market for Black Friday:
As you can see, US discounts are relatively marginal in comparison to Canadian retailers. In fact, it wouldn’t be too surprising to see a reverse in shopping trends; with the favourable exchange rate for Americans we should be expecting a higher flock of US licensed plates in the parking lot of our Canadian outlet malls. In an article written by the Financial Post, Doug Porter, chief economist with the Bank of Montreal states, “The turn of events in spending patterns has sent Americans travelling to Canada at levels not seen since 2000. Americans are not just coming up here to shop in malls; they’re buying big tickets items like cars and helping to send hotel occupancy to record levels.”
It looks like holiday shopping in the U.S has no benefits for Canadians, so until our weakened loonie gets stronger, it’s better for us to stay home to do holiday & boxing day shopping.